Karvy raised Rs 600 crore by pledging securities of around 95,000 clients, says report
Updated : November 27, 2019 12:19 PM IST
The Hyderabad-based firm pledged securities worth Rs 2,300 crore from around 95,000 clients with three private banks and a large non-banking finance company to raise Rs 600 crore.
Last week, Sebi banned Karvy from taking new clients and executing trades over allegations of misusing client securities.
The defaults are to the tune of Rs 2,000 crore and in an ex-parte order, Sebi has directed that pending forensic audit, Karvy is prohibited from taking new clients with respect to its stockbroking activities.